The base layer of a blockchain network, such as Ethereum, Cardano, or Solana, is referred to as “Layer-1”, while “Layer-2” solutions are built on Layer-1 blockchains to provide better scalability for the base layer.
Buterin believes that a Layer-3 solution would only make sense if used for purposes other than scaling. For this reason, Layer-3 solutions should not consist of stacked rollups, as it would lead to inefficient data compression.
Buterin Shares His Vision for Layer-3 Solutions
In a blog post titled “What kind of layer 3s make sense?” Buterin explained that Layer-3 solutions could be implemented in privacy-focused chains by utilizing zk proofs to submit private transactions to Layer-2.
According to Buterin, Layer-3 solutions can also be built around non-EVM platforms, using customized scaling solutions for specific applications or validiums (which are another kind of roll-up).
Buterin’s comments on potential Layer-3 use cases come as StarkWare’s newly produced, recursive validity proofs appear to have put an end to Ethereum’s scalability concerns.
- Vitalik Buterin also argues that decentralized autonomous organizations (DAOs) shouldn’t resemble corporations.
Since Layer-2 solutions on theperform efficient cross-border transactions on their respective networks, Layer-3 formats may not actively improve efficiency.
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Milko is a DailyCoin reporter, mainly focused on Ethereum (ETH), Cardano (ADA), and their founders (Vitalik Buterin and Charles Hoskinson). Milko is an avid follower of crypto and blockchain technology and has written thousands of articles on the subjects. He finds joy in transforming complex issues into written content that anyone can understand. Milko has used and analyzed numerous exchanges, such as Coinbase, FTX, and Binance. He also closely follows all of the latest news around the largest decentralized exchanges (DEXs).